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BTC eyes 2019 ‘bottom’ after 12,400 client loss By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

HE Bahamas Telecommunications Company’s (BTC) owner yesterday said its mobile subscriber loss “will bottom out in 2019” after another 12,400 customers exited in this year’s third quarter. Balan Nair, Liberty Latin America’s (LiLAC) chief executive, told financial analysts that while this point was getting “closer and closer”, BTC was “not there yet” in terms of stemming the bleeding of subscribers to its upstart mobile rival, Aliv. He downplayed, though,

* ‘Close but not there yet’ to Aliv bleed halt * Owner downplays share fall as ‘natural’ * Data shows BTC struggling for growth

BTC BAHAMAS

* BISX-listed supplier fears impact unless settled * Water Corp’s bill jumps 77% or by $7m * Urges Finance Ministry to stick to pay plan By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net NASSAU’S main water provider yesterday sounded an alert over potential supply disruptions if the Government does not pay a $16.1m debt that has increased by 76.9 percent this year. Consolidated Water, the BISX-listed entity that produces virtually all the Water & Sewerage Corporation’s New Providence water supply, warned that it will lack the financing “to continue normal operations” unless the Ministry of Finance sticks to a proposed payment plan to settle

what is owed. The Blue Hills and Windsor reverse osmosis plant owner, in its 2018 third quarter results filings, said the $7m increase in the corporation’s debts to it during the nine months to endSeptember 2018 had already “adversely impacted the liquidity” of its Bahamian subsidiary. While conceding that successive governments had always made good on such outstanding bills, which have peaked at similar amounts in the past, Consolidated Water’s latest filing with the US Securities & Exchange Commission (SEC) struck a more urgent tone - and effectively amounted to

‘How could I compete’ against 7 cents power? By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A BAHAMIAN businessman yesterday questioned “how am I supposed to compete” against foreign rivals whose all-in electricity costs are almost two-thirds lower than BPL’s fuel charge. Robert Myers, who also heads the Organisation for Responsible Governance (ORG), told Tribune Business that business counterparts in Canada and Florida had informed him this week they were paying just seven cents per kilowatt hour (KWh) for their electricity. In contrast, Dr Donovan Moxey, Bahamas Power & Light’s (BPL) chairman confirmed that the stateowned utility’s fuel charge is currently 19.5 cents per KWh - a figure almost three times’ the all-in tariff in many North American regions. With Bahamian households and businesses paying an all-in tariff of around 40 cents per KWh, Mr Myers said this nation faces energy costs that are almost six times’ higher than competitors in the US and Canada. “How am I supposed to compete with a guy with a base of operations whose paying seven cents a KWh, and we’re paying 40 cents per KWh,” Mr Myers asked, echoing the thoughts of many in

ROBERT MYERS

PAUL MAYNARD the private sector. Meanwhile Paul Maynard, the Bahamas Electrical Worker Union’s (BEWU) president, told Tribune Business that the Government needs to “get its head out of its backside” and move urgently to lower BPL’s electricity prices otherwise the economy “will tank”. The warning from the union leader, who represents BPL’s line staff, came as questions continued to be asked over the utility’s decision to select Aggreko’s automated diesel oil

SEE PAGE 5

a warning to the Minnis administration. It added that if the Ministry of Finance “does not adhere” to the proposed payment plan submitted to it, and/or the corporation continues to be “significantly delinquent” in paying its bills, its Bahamian subsidiary would suffer several adverse consequences that could impact water supply to thousands of New Providence homes and businesses. “Consolidated Water (Bahamas) accounts receivable balances due from the Water & Sewerage Corporation amounted to $16.1m

SEE PAGE 5

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

are, I think, a lot of shareholders in there and it’s very fragmented. To get anything new done there it’s very difficult. I’m going to be the guy that says there’s got to be huge changes there for it to be viable because right now it’s useless.” Mr Kosoy’s criticisms echo previous concerns

SEE PAGE 4

SEE PAGE 6

the continued erosion of BTC’s mobile market share as “natural” for a newly-liberalised market such as The Bahamas where the former state-owned incumbent had enjoyed a 16-year monopoly. LiLAC’s wholly-owned subsidiary, Cable & Wireless Communications (CWC), through which it holds the controlling interest in BTC, also sought to highlight the positive by noting that the rate of mobile subscriber loss during the three months to end-September 2018 fell by 36.8 percent year-over-year. However, this rate of attrition represented a 2,000 customer increase on the

Developer: ‘Useless’ BISX needs new life By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net A PROMINENT developer and real estate financier yesterday called for the Bahamas International Securities Exchange (BISX) to be “overhauled”, arguing: “It needs new life”. David Kosoy, pictured, Sterling Global Financial’s chairman, who was a panellist at a Securities Commission forum on public companies, when asked his thoughts on The Bahamas’ stock exchange said. “It should be overhauled, period. “It’s not working; I believe it’s not working. It needs need breath, new technology, new life. There

Central Bank to ban ‘anonymous’ crypto assets THE Central Bank is proposing to ban its licensees from dealing with “anonymous” crypto currency assets, with 84 percent of local institutions saying they have no desire to enter this space. The regulator, unveiling a “discussion paper” on proposals for regulating what it called “crypto assets”, said it “will likely prohibit” its bank and trust company licensees from handling products “intentionally designed to hide details about end users’ identity”. With The Bahamas already under scrutiny from the Financial Action Task Force (FATF) over “structural deficiencies” in its anti-money laundering and counter-terror financing (AML/CFT) regime, the Central Bank said the risk of such instruments being exploited to facilitate financial crime and tax evasion was simply too great. The Central Bank said this applied to both clients’ crypto assets and investments in these products by Bahamian bank and trust companies themselves, with the latter barred from using customer deposits and restricted to shareholder monies (its own capital) only. “SFIs (supervised financial institutions) may only invest in crypto assets and/ or entities heavily exposed to crypto assets with shareholder funds - not client deposits. When doing so, they will be precluded from holding instruments that are designed to remain anonymous,” the Central Bank paper said. “Banks are not to accept ‘cryptocurrency’ deposits on balance sheet, or to extend such loans to customers. Also, given the price volatility and uncertainties around

SEE PAGE 4

Water supply alert on govts $16.1m debt

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PAGE 2, Friday, November 9, 2018

THE TRIBUNE

Keeping pace with employer demands W

NOTICE Positions available

Junior office Clerk/Messenger · · · · · ·

Ability to do messenger work Excellent client interaction by telephone and interpersonal skills Ability to work on own initiative Interpersonal skills Basic computer skills Excellent benefit options

Email resumes to info@cibains.com

NOTICE IN THE ESTATE OF ROSE MARIE BUTLER late of York and Ernest Streets in the Eastern District of the Island of New Providence, one of the Islands of the Commonwealth of The Bahamas, deceased. Notice is hereby given that all persons having any claim or demand against the above Estate are required to send their names, addresses and the particulars of their debts or claims duly certified in writing to the undersigned on or before the 9th November, A. D. 2018, after which date the Administratrices will proceed to distribute the assets having regard only to the proved debts or claims of which notice have been given. And Notice is hereby given that all persons indebted to the said Estate are requested to make full settlement on or before the date herein before mentioned. EDWARD B. TURNER & CO. #24 Leonie Place Flax Terrace off Malcolm Road Nassau, Bahamas Attorneys for the Administratrices of the Estate of the late Rose Marie Butler COMMONWEALTH OF THE BAHAMAS IN THE SUPREME COURT Common Law & Equity Division

E spend a substantial part of our adult life at work. With companies demanding more from their employees in less time, trying to meet all your deadlines may seem really stressful. Keeping pace in a fastmoving economy and world is the desire of employees who want to advance in their careers. Mediocrity is not an option. Excellence is the goal. Here are a few suggestions for how employees can remain competitive and increase their level of productivity and efficiency. 1. Start each day with a “To-Do” list The old adage reminds us that if you fail to plan then you have simply planned to fail. If you do not know the tasks you have to accomplish for the day, you cannot prioritise, plan or feel the sense of accomplishment that comes with checking them off. Use outlook, your smart phone, a diary meeting planner, a refrigerator task board or anything that reminds you of the critical things you must do each day.

ONE of two CIBC Trust Company (Bahamas) nominees took away a top award from the recent annual financial services industry Excellence Awards. Norma T Major, director of operations for finance and client accounting, won Mentor of the Year, while Taryn Turnquest, a trust administrator, was nominated in the Achiever of the Year category. Perry A Rolle, CIBC Trust Company (Bahamas) managing director, said: “Both women’s professional work ethic and behaviours easily fit the requisite criteria set out in the financial services industry Excellence Awards nomination forms. And we were thrilled when Norma emerged as the overall winner in her category. We’re very proud of them and the staff is thrilled.

2018/CLE/gen/00855

COMMONWEALTH BANK LIMITED

AND WAYNE GLINTON TO: WAYNE GLINTON TAKE NOTICE that:

Plaintiff First Defendant

The Court further Ordered that the existence of further proceedings be deemed to be served on you by way of similar advertisements Dated the 7th day of November A.D.2018

A HIGGS & JOHNSON attorney was awarded the Millenial of the Year honour at the Bahamas Financial Services Board’s (BFSB) recent financial services awards gala dinner. Theo Burrows, who specialises in private client and wealth management work, said: “I am thankful to BFSB for selecting me as the 2018 Millenial of the Year. I encourage my peers in the industry to keep striving towards excellence as I look forward to passing the baton to next year’s recipient.” His practice focuses on

THEO BURROWS, left, displays his Millenial of the Year award with partner, Paul Davis.

trusts, wills, estate planning, foundations, private trust companies, company law and international commercial contracts. Mr Burrows also advises clients on regulatory compliance, and counsels trust companies on the development of new services and issues arising in trust administration. He is a director of the Society of Trust and Estate Practitioners (STEP) Bahamas branch, and has been invited to participate in the planning for the STEP Caribbean Conference 2019 which will be held in The Bahamas.

Second Defendant

A Notice of Adjourned Hearing filed herein has been issued in the Supreme Court of The Bahamas by Commonwealth Bank Limited, by the Plaintiff herein against you, Wayne Glinton. An Order made in the Supreme Court by the Honorable Justice Gregory Hilton in Supreme Court Action No. 2018/Cle/ gen/00855, it was ordered that service of the said Notice of Appointment to Hear Originating Summons and all other pleadings against one of the Defendant, Wayne Glinton to be effected by way of this Advertisement. IT IS FURTHER ORDERED THAT THE HEARING OF THE NOTICE OF ADJOURNED HEARING IS SET TO BE HEARD ON WEDNESDAY, 16th JANUARY 2019 AT 9:30 A.M BEFORE THE HONORABLE JUSTICE GREGORY HILTON,SWIFT JUSTICE BUILDING,EAST STREET NORTH,NASSAU,N.P.THE BAHAMAS

GRAHAMTHOMPSON Chambers, Sassoon House, Shirley Street & Victoria Avenue, Nassau, Bahamas. Attorneys for the Plaintiff

TWO of CIBC Trust Company’s associates were nominated by the bank in the annual financial services industry Excellence Awards. Norma T Major, left, director of operations for finance and client accounting, won Mentor of the Year, while Taryn Turnquest, trust administrator, was a nominee for Achiever of the Year.

“We are extremely pleased, and indeed proud, to have employees such as Norma on our team. We are even more elated that with her high quality of performance, her pro-activeness, dedication and commitment to the job, and the level of professionalism that she displays. Norma not only finds the time but shows a keen willingness to mentor others within our work environment.” He added that Ms Turnquest, although a relatively new member of staff, has already made herself known as a team player and woman of action. “Once a task has been assigned to Taryn, she runs with it and requires little to no supervision, as we’ve learnt that the end product will be of a high quality,” Mr Rolle said.

Higgs & Johnson attorney honoured

AND TINA M.GLINTON

2. Share the load with the team Regardless of whether you work in a team of five or 50, you are working towards common goals. Teams that share information openly and regularly are likely to be more productive overall. Team members who engage in knowledge-sharing sessions are less likely to have to “re-invent the wheel”, since the chances are that someone has already solved a similar problem. You are also likely to find out about projects that closely relate

when they feel confident in their ability to do a job; setting impossible goals is more likely to demotivate them. Find the right balance of easy and challenging assignments for yourself in the long and short-run, and watch your productivity soar at all of them. 5. Learn to say no When at work, unreasonable demands can come from anywhere. Learn to pick and choose things that require your immediate attention, and those you can schedule for later. Tell your workers you will get back to them with the support they need from you later. Sometimes, you may have to talk to your leader about your workload or delegate certain tasks to others. • NB: Ian R Ferguson is a talent management and organisational development consultant, having completed graduate studies with regional and international universities. He has served organsations, both locally and globally, providing relevant solutions to their business growth and development issues. He may be contacted at iferguson@ bahamas.com.

CIBC TRUST NOMINEE TAKES ‘MAJOR’ AWARD

IN THE MATTER OF property comprised in an Indenture of Mortgage dated the 16th day of March A.D.2015 between TINA M. GLINTON of the one part and Commonwealth Bank Limited of the other part and of record in the Registry of Records in the City of Nassau in the Island of New Providence in Volume 12574 at pages 105 to 125. BETWEEN

IAN FERGUSON BY

to what you are doing, and find ways to collaborate. Team meetings also help set bigger milestones, thereby illuminating the smaller milestones everyone must accomplish to achieve those goals. 3. Change your scenery The view from your desk can get boring quickly. Try to find a quiet corner in your office to work from for a couple of hours. It will give you a chance to work away from office chatter on your most important tasks, and allow you a productive break from your desk. Working from home on days you do not have a meeting scheduled may also help you to be more productive. The danger here is avoiding the distractions that might come with breaks and working from home. Manage those well and this tip will prove beneficial. 4. Set realistic goals Do not try to be a “super hero”. It is important to aim high and push yourself, but also to stay realistic and practical. Setting realistic goals and deadlines for yourself and your team helps ensure you can meet them at a smooth pace. Employees feel motivated

VACANCY Higgs & Johnson, a leading full service corporate and commercial law firm, is seeking to hire a Litigation Attorney. The successful candidate must be specialized in the areas of commercial litigation and employment law; knowledge of insolvency a plus. Applicant must demonstrate an ability to work independently and possess thorough working knowledge and technical competence in the areas mentioned. Preferably 3-5 years’ relevant experience. Competitive remuneration package is commensurate with qualifications and experience. Qualified applicants should send their CVs to: gbastian@higgsjohnson.com. Only applicants with the required criteria need apply.

THE TRIBUNE

Friday, November 9, 2018, PAGE 3

‘RIFE WITH FRAUD’: DEVELOPER’S BTC targets SOUNDS CROWDFUNDING ALARM hospitality By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net A PROMINENT real estate financier yesterday warned against crowdfunding as a means to finance Bahamian entrepreneurs because it could be “rife with fraud”. David Kosoy, Sterling Global Financial’s chairman, while addressing capital raising challenges and opportunities at a Securities Commission public companies forum, said he was opposed to this financing mechanism being widely used in The Bahamas. “I’m against crowdfunding here. I think it would be rife with fraud,” he

argued. “Where are the source of funds coming from? There is so much that you would have to do with the AML/KYC. (anti-money laundering/ Know Your Customer due diligence). I think crowdfunding could be an issue in this small market.” Crowdfunding is a popular financing method through which funds are solicited for a project or venture from a large group of individuals. The Securities Commission of The Bahamas, which regulates and governs the capital markets, has developed legislation to allow for crowdfunding. Exploring alternatives, Mr Kosoy added: “I think what we have to contemplate is

PM admits more progress required on business ease By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net THE Prime Minister yesterday admitted The Bahamas needs to make faster and greater progress in improving its “ease of doing business”, reiterating that new measures will be adopted in 2019. Delivering the keynote address at the Securities Commission’s public companies forum, Dr Hubert Minnis promised the private sector would soon see and feel the benefits from the Government’s efforts to improve The Bahamas’ 118th ranking in the World Bank’s “ease of doing business” index. He said: “We remain concerned about our rating and rank on such lists, as they impact how foreign investors perceive the jurisdiction. The Government’s ease of doing business committee has proposed a suite of recommendations across the metrics to introduce real reform in the regulatory environment.

“We have made some progress to-date, but we need to make even greater progress in a timelier manner. Businesses can expect to start experiencing even greater progress as we look to start adopting key measures in the New Year.” This nation has improved by just three places in the World Bank’s “ease of doing business” ranking over the past two years. KP Turnquest, deputy prime minister and minister of finance, this week said an inter-agency government working group was aiming “to see at least a 15 percent increase over the next few years”. Dr Minnis yesterday described the “deepening and broadening” of the Bahamian economy as “critical”. “We must be resolved to improve investor confidence and the use of the markets by public companies if we are to harness the transformative economic potential latent in Bahamian businesses and investors. Job-creation, strengthening the Bahamian economy, and

NOTICE EEXXONMOBIL EXPLORATION AND PRODUCTION COTE D’IVOIRE (SOUTH CENTRAL WEST) LIMITED _______________________________________________ Creditors having debts or claims against the above-named Company are required to send particulars thereof to the undersigned c/o P.O. Box N-624, Nassau, Bahamas on or before 4th day of December, A.D., 2018. In default thereof they will be excluded from the benefit of any distribution made by the Liquidator.

that there are entrepreneurs who may not be experienced enough to put together a game plan and a budget, but have great ideas and are willing to work. “I think what this country needs is something like shark tank. I think what it needs is a corporate group of people that aren’t restricted by the Central Bank. There are a lot of people here that can only lend or invest with US dollars, with US persons, or non-Bahamians. That restricts a lot of capital right there. “There is a lot of money here sitting in different places where a lot of people would love to help. I think there should be a corporate group of people, it could be

ten different corporations putting up a certain amount of money, and maybe once a month have people be vetted to come in and pitch their ideas.” James Gomez, managing partner of the Baker Tilly Gomez accounting firm, said the Bahamas Entrepreneurial Venture Fund provides funding to local entrepreneurs, pointing to Bahamas Striping and Sunryse Shredding Services as two companies that have benefited from the fund. Mr Gomez added that not having proper financial information has adversely impacted many persons in their efforts to secure funding for their businesses.

PRIME Minister Hubert Minnis improving the environment for business are top priorities for my administration,” said Dr Minnis. He added: “Today, there are positive indications that the country is ‘turning the corner’ economically. The IMF recently projected real gross domestic product (GDP) growth of 2.3 percent for 2018, and 2.1 percent for 2019. These projections are encouraging. “Still, there is an immense amount of ground to make up, particularly following such a long period of economic decline following the great recession of 2008. While the Government has a pivotal role to play, the full response to boosting employment cannot rest solely on the Government. Viable, sustainable private businesses must truly be the drivers of the Bahamian economy. The Government’s duty is to create an environment inviting to businesses and entrepreneurs. The Government is fully committed to improving the ease of doing business in The Bahamas.”

Pointing to the creation of the Access Accelerator Small Business Development Centr (SBDC), which is a partnership between the Ministry of Finance, University of The Bahamas and the Bahamas Chamber of Commerce and Employers Confederation, Dr Minnis said the Government has allocated $25m to supporting micro, small and medium-sized enterprises. “The immense response from entrepreneurs to the SBDC, with over 600 people signed up in August, and consulting appointments into next year – underscores how important and necessary this type of support is to young entrepreneurs,” Dr Minnis said. “Access to capital is a perennial issue with micro, small and medium-sized enterprises. The Securities Commission has spent a considerable amount of time contemplating how entrepreneurs can, in a costeffective manner, and with minimal ‘red tape’, gain access to much needed capital to fund their ventures.”

sector with new offering

By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net THE Bahamas Telecommunications Company (BTC) has launched a “hospitality suite of services” aimed at modernising the tourism industry and “going beyond” guest expectations. Andre Knowles, director of BTC Business, speaking on the sidelines of yesterday’s launch, said: “This is a start. We want to bring a lot more products and services to the business community.” He further explained: “BTC is launching a whole new set of business products and services. This is but the first one; our hospitality suite of services. We are providing high-definition content to all of the hotels, but not just the hotels - guest houses and any place with multiple rooms, even hospitals. It is about allowing businesses to provide a higher level of service to

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PKF BAHAMAS

Legal Notice

REQUIRED

NOTICE

QUALIFIED ACCOUNTANTS PKF Bahamas, an International Accounting Firm, seeks to recruit senior professional qualified persons with recognized accounting qualifications, and trainee accountants. Qualified persons must be eligible for membership in The Bahamas Institute of Chartered Accountants and must have at least two (2) or three (3) years post qualification experience.

SILVER PALM GLOBAL FUND ICON NOTICE IS HEREBY GIVEN as follows: (a) (b)

Only Bahamians need apply.

Dated the 9th day of November, A.D., 2018.

R.W. Rice Liquidator 22777 Springwoods Village Parkway Spring, Texas 77389 U.S.A.

LEGAL NOTICE NOTICE INTERNATIONAL BUSINESS COMPANIES ACT (No.45 of 2000) MGA INTERNATIONAL INVESTMENT FUND LTD. (the “Company”) Notice is hereby given that, in accordance with Section 138 (8) of the International Business Companies Act, No.45 of 2000, the Dissolution of MGA INTERNATIONAL INVESTMENT FUND LTD. has been completed, a Certificate of Dissolution has been issued and the Company has therefore been struck off the Register. The date of completion of the dissolution was the 30th day of October, 2018.

Marcio Goldenzon de Albuquerque Liquidator

their guests. While we and our competitors can provide content, we want to do even more.” Mr Knowles added: “This service allows hotels to put menus on the screen, allows guests to do checkins and check-outs, all remotely from their connected devices. This is much needed. It’s something we need to do in the hospitality industry to step up our game. Guests come here and expect a certain level of service that they get elsewhere.” The BTC executive said the “hospitality suite” of services allows hotels to ensure their guests can get what they expect “and beyond”. It’s good for the big hotels and the small hotels that can’t afford to have IT staff,” he added. “It’s a managed service facility. Businesses will have full control of it, but it allows them to do what they do best and allows us to tackle the technology side.”

Preference will be given to applicants with proven audit and assurance experience. Salary and benefits subject to negotiation. Please apply in writing to: Human Resources Partner PKF Bahamas P. O. Box N-8335, Nassau, Bahamas.

(c)

Silver Palm Global Fund ICON is in dissolution under the provisions of the Investment Condominium Act, 2014. The dissolution of the said investment condominium commenced on the 24th day of October, 2018 when its Notice of Dissolution was submitted to and registered by the Registrar General. The Liquidator of the said investment condominium is Michael C. Miller, #10 Lookout Hill, Winton Heights, P.O. Box EE-17971, Nassau, Bahamas. Michael C. Miller Liquidator

NOTICE

TANAL INVEST LTD.

MIESHA INVEST LTD.

NOTICE is hereby given as follows:

(a) Tanal Invest Ltd. is in Voluntary Dissolution under the provisions of Section 138(4) of the International Business Companies Act 2000.

(a) Miesha Invest Ltd. is in Voluntary Dissolution under the provisions of Section 138(4) of the International Business Companies Act 2000.

(b) The Dissolution of the said Company commenced when the Articles of Dissolution were submitted to and registered by the Registrar General of the Commonwealth of The Bahamas.

Dated this 7th day of November, 2018.

Beatus Limited Liquidator

PAGE 4, Friday, November 9, 2018

THE TRIBUNE

BTC eyes 2019 ‘bottom’ after 12,400 client loss FROM PAGE ONE 10,400 subscribers who deserted BTC during the 2018 second quarter, indicating that it has some way to go in countering Aliv’s continued seizure of market share. Mr Nair, addressing LiLAC’s 2018 third quarter results conference call, said: “In The Bahamas remember we were an incumbent with 100 percent of the mobile network there, and when a competitor showed up a year-and-a-half ago, a couple of years ago, it’s only natural that they would take share, and it’s only natural that if you own 100 percent you’re going to lose something. “We think it will bottom out some time in 2019, where we’ve given up share, and that number will either get stable or will now grow, and both of us [BTC and Aliv] will certainly want to grow value through ARPU (average revenue per subscriber) and bundles etc. To be honest with you, the bottom is not there yet in The Bahamas, but it’s getting closer and closer to it.” Asked by one analyst as to whether LiLAC saw “a price war going on there” in The Bahamas, Mr Nair replied: “It’s not a price war, right. When you own 100 percent of the market and the new entrant comes in, there will be a percentage of your customers that would want to have a different operator, and that’s natural.” BTC’s subscriber numbers at September 30, 2018, support Aliv’s claim to have seized more than one-third of all Bahamian mobile market subscribers. BTC was shown to have 228,300 total

subscribers at that date, with 89 percent of 203,000 of that client base concentrated in pre-paid customers. Damian Blackburn, Aliv’s top executive, last week pegged its subscriber base at 125,000 which, when combined with BTC’s numbers, gives The Bahamas’ second mobile operator a 35.4 percent market share - placing it on track to hit its target of 39 percent share by end-June 2019. CWC’s 2018 third quarter results, which were broken out from LiLAC’s, confirmed that Aliv is continuing to pressure not only BTC’s mobile customer base but its pricing, margins and yields. “In The Bahamas, competition continued to impact our operation, driving subscribers 12,000 lower,” CWC said. “However, this was an improvement compared to the prior-year period loss of 19,000. “[Overall] residential mobile revenue declined by eight percent compared to the prior-year period. The decrease was driven by lower subscription revenue in The Bahamas and Panama, where continued competition drove a decrease in the average number of subscribers and ARPU per subscriber.” Chris Noyes, LILAC’s senior vice-president and chief financial officer, said BTC’s mobile subscriber losses accounted for just under one-third of the group’s net 37,000 customer base decline during the three months to end-September 2018. CWC’s 47,000 mobile subscriber losses were offset partially by a 10,000 gain by LiLAC’s Chile subsidiary, and Mr Noyes said:

NOTICE EXXONMOBIL EXPLORATION AND PRODUCTION COTE D’IVOIRE (SOUTH CENTRAL EAST) LIMITED _______________________________________________ Creditors having debts or claims against the above-named Company are required to send particulars thereof to the undersigned c/o P.O. Box N-624, Nassau, Bahamas on or before 4th day of December, A.D., 2018. In default thereof they will be excluded from the benefit of any distribution made by the Liquidator. Dated the 9th day of November, A.D., 2018. R.W. Rice Liquidator 22777 Springwoods Village Parkway Spring, Texas 77389 U.S.A.

“Forty-one thousand of this loss was in pre-paid, which can exhibit higher volatility from quarter-to-quarter, and is accounted for primarily in the competitive markets of The Bahamas and Panama.” BTC’s 12,400 third quarter subscriber loss was driven by the departure of 11,700 pre-paid customers, although just 700 of the higher margin, higher-yielding post-paid customers departed the network. Other data shows the former Government-owned monopoly continues to find it tough going to make inroads into the TV and broadband Internet market long dominated by its main rival, BISX-listed Cable Bahamas, which has Board and management control at Aliv. BTC suffered a net 200 subscriber, or revenue generating unit (RGU), loss in this area during the three months to end-September 2018. While it gained 100 TV/video subscribers it also lost 300 fixed-line phone customers. And, while BTC’s fibreto-the-home network infrastructure passed some 128,900 Bahamian homes at September 30, this has to-date translated into just 80,200 customers or RGUs outside of its mobile client base. At that date, BTC was said to have 6,800 TV/video and 26,400 Internet customers, plus a further 47,000 fixed-line voice subscribers. LILAC earlier this year hired Garry Sinclair, a

Jamaican, as BTC’s chief executive with a “top line growth mission” to turn around BTC’s slumping topline revenues during the 2018 second half. No mention was made yesterday, though, either in the conference call or LiLAC results announcement of whether any success has yet been seen here. Tribune Business earlier this year revealed how BTC’s net profits fell by at least $30m, or 75 percent, yearover-year in 2017 as a result of competition’s pressure on not just subscriber numbers but pricing and margins. BTC’s 2017 full-year net earnings were down 71.3 per cent at $11.4m, compared to the $39.7m profit it enjoyed for the last nine months of 2016 - the final period in which it enjoyed a mobile monopoly prior to Aliv’s launch in November 2016. This suggests that BTC’s full year-over-year profits comparison could have been down by as much as 80 percent, given that the telecommunications carrier was likely on track for a near-$50m “bottom line” in 2016 based on its nine-month performance. The figures also revealed that the Government and “BTC Foundation”, as non-controlling BTC shareholders, received no dividend in 2017 compared to the $12.6m payout they collectively enjoyed in 2016.

Developer: ‘Useless’ BISX needs new life FROM PAGE ONE expressed by the likes of financial analyst, Richard Coulson, who has argued that the low number of equity listings and thin trading volume are “not the sign of a productive exchange”. While BISX’s creation 18 years ago was “a noble start”, Mr Coulson said at an earlier Securities Commission forum: “Out of hundreds of [Bahamian] companies, only 20 of them have chosen to list their ordinary shares on BISX, the last one being Arawak Port Development five years ago. Since then, nothing. “Out of those 20 companies, four of them struggle to survive. Many of them trade only once or twice a week, and days when there are no trades are frequent. That is not the sign of a productive stock exchange. Mr Coulson added that, by comparison, since 2009 some 30 companies have listed on Jamaica’s junior market, a facility that BISX has long planned but been unable to create. Keith Davies, BISX’s chief executive, in a interview with Tribune Business last month pledged that the exchange would become “more proactive” in stimulating the market for

specific stocks by expanding their trading “bands”. He told this newspaper that the exchange will now conduct monthly reviews to determine whether current restrictions - which limit daily movement in a listed stock to ten percent either side of the previous day’s closing price - should be altered to encourage greater market activity. Illiquidity, or lack of willingness by buyers and sellers to trade and interact, has plagued BISX and the wider Bahamian capital markets since the stock exchange’s creation in 2000. Partly a function of The Bahamas’ relatively small market size and exchange control regime, it also stems from the fact that most institutional investors tend to “buy and hold” rather than engage in active trading. The market’s illiquidity also drove imposition of the “ten percent” rule, which was intended to prevent wild fluctuations in stock prices caused by small retail investors exiting at values that did not reflect a company’s fundamentals. Often, these trades involved just a few hundred shares, but caused “double digit” percentage declines in share prices well in excess of ten percent.

To advertise in The Tribune, contact 502-2394 NOTICE

N O T I C E

EXXONMOBIL EXPLORATION AND PRODUCTION COTE D’IVOIRE (SOUTH CENTRAL WEST) LIMITED ________________________________________________

EXXONMOBIL EXPLORATION AND PRODUCTION COTE D’IVOIRE (SOUTH CENTRAL EAST) LIMITED ____________________________________

N O T I C E IS HEREBY GIVEN as follows:

(a) EXXONMOBIL EXPLORATION AND PRODUCTION COTE D’IVOIRE (SOUTH CENTRAL WEST) LIMITED is in dissolution under the provisions of the International Business Companies Act 2000.

(a) EXXONMOBIL EXPLORATION AND PRODUCTION COTE D’IVOIRE (SOUTH CENTRAL EAST) LIMITED is in dissolution under the provisions of the International Business Companies Act 2000.

(b) The dissolution of the said Company commenced on the 7th day of November 2018 when its Articles of Dissolution were submitted to and registered by the Registrar General.

Dated the 9th day of November, 2018 HARRY B. SANDS, LOBOSKY MANAGEMENT CO. LTD. Registered Agent for the above-named Company

THE TRIBUNE

Friday, November 9, 2018, PAGE 5

WATER SUPPLY ALERT ON GOVTS $16.1M DEBT FROM PAGE ONE as of September 30, 2018, as compared to $9.1m as of December 31, 2017. The increase in these accounts receivables has adversely impacted the liquidity of this subsidiary,” Consolidated Water warned in its SEC filings. “Consolidated Water (Bahamas) has also experienced similar delays in collecting its accounts receivables from the Water & Sewerage Corporation in prior years, and at times has held accounts receivable balances from the Water & Sewerage Corporation in amounts comparable to the September 30, 2018, balance. “During these periods we arranged meetings, and held discussions, with representatives of the Water & Sewerage Corporation and the Bahamas government to formulate a payment schedule for Water & Sewerage Corporation’s delinquent accounts receivable, and such amounts were subsequently paid in full.” Consolidated Water added: “Based upon this payment history we have never been required to provide an allowance for doubtful accounts for any

of Consolidated Water (Bahamas) accounts receivables, even though Consolidated Water (Bahamas) periodically has been owed substantial delinquent balances. “In October 2018, the Ministry of Finance provided CW-Bahamas with a proposed payment schedule to pay Water & Sewerage Corporation’s delinquent accounts receivable balance as of September 30, 2018, in full by June 2019.” Then came the warning: “If the Ministry of Finance does not adhere to this proposed payment schedule, or the Water & Sewerage Corporation continues to be significantly delinquent in paying Consolidated Water (Bahamas) invoices, then in the coming months one or more of the following events may occur. “One, Consolidated Water (Bahamas) may not have sufficient liquidity to continue normal operations. Two, we may be required to cease the recognition of revenues on Consolidated Water (Bahamas) water supply agreements with the Water & Sewerage Corporation, and three, we may be required to provide an allowance for Consolidated Water (Bahamas) accounts receivable. Any of these

‘How could I compete’ against 7 cents power? FROM PAGE ONE (ADO) temporary generation units to provide an extra ten megawatts (MW) of power at its Clifton Pier power station. Whitney Heastie, BPL’s chief executive, previously told Tribune Business that Aggreko was selected - on the basis of advice from BPL’s long-term generation partner, Shell - because it was the only supplier to offer the short-term rental the utility was seeking. He added that all rival proposals only offered the same ADOfuelled units. However, Tribune Business sources subsequently confirmed that at least one company offered both Heavy Fuel Oil (HFO) and

propane/liquefied natural gas (LNG) fuelled temporary generation units to BPL that could have been on the ground within two months. Both these fuels are much cheaper than ADO, with HFO currently said to be 20 percent less. Several energy industry contacts, speaking on condition of anonymity, suggested that BPL may have selected the deal that was best for its own cashstrapped position but was the worst for Bahamian consumers. They explained that ADO-fuelled temporary generation units carry lower rental rates, in comparison to HFO and propane ones, yet are ultimately the most expensive because fuel accounts for 80 percent of

NOTICE Notice is hereby given that ROBENS ALTIDORT of East Street North, New Providence, The Bahamas is applying to the Minister responsible for nationality and Citizenship, for Registration/Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written signed statement of the facts within twentyeight days from the 2nd November, 2018 to the Minister responsible for Nationality and Citizenship, P.O.Box N7147, Nassau, The Bahamas.

NOTICE Notice is hereby given that BELINDA SAINVIL of Golden Isles, Carmichael Rd., New Providence, The Bahamas is applying to the Minister responsible for nationality and Citizenship, for Registration/Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/ naturalization should not be granted, should send a written signed statement of the facts within twenty-eight days from the 2nd November, 2018 to the Minister responsible for Nationality and Citizenship, P.O.Box N7147, Nassau, The Bahamas.

NOTICE Notice is hereby given that CINDY DESIR of Taylor Alley, Kemp Road, Nassau, The Bahamas is applying to the Minister responsible for nationality and Citizenship, for Registration/ Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/ naturalization should not be granted, should send a written signed statement of the facts within twentyeight days from the 9th November, 2018 to the Minister responsible for Nationality and Citizenship, P.O.Box N7147 Nassau, The Bahamas

events could have a material adverse impact on our results of operations, financial position and cash flows.” Adrian Gibson, the corporation’s chairman, who was thought to have been in Long Island at the Business Outlook conference, did not return Tribune Business’s calls and messages seeking comment before press time last night. However, it will not only be Water & Sewerage Corporation customers feeling the effects if this worst-case scenario comes to pass. Bahamian shareholders of Consolidated Water, who hold its shares through Bahamian Depository Receipts (BDRs) listed on BISX, may also see an impact on their investment’s earnings and dividends. The Consolidated Water filings may also shed new light on the reasons behind the Water & Sewerage Corporation’s recent mass disconnection exercise across New Providence and the Family Islands, as its bids to recover up to $45m in accounts receivables owed to it by delinquent customers - a significant chunk of which will likely have to be writtenoff - to improve its financial position. They also indicate that a further taxpayer “bail out”

of the cash-strapped Water & Sewerage Corporation may soon be forthcoming on top of the annual $20$30m it typically receives in the annual budget, which is a product of operational inefficiencies and the continued selling of water “below cost”. On a more positive note, Rick McTaggart, Consolidated Water’s president and chief executive, hailed the recent re-commissioning of its Windsor facility, the smaller of its two New Providence reverse osmosis plants, the company having spent $13.7m between that and a similar upgrade in the Cayman Islands. “Subsequent to the quarter end, we re-commissioned our Windsor plant in The Bahamas, which is our second largest facility in our plant portfolio. This facility, which provides 2.6 million US gallons per day to the government-owned Water and Sewerage Corporation, was refurbished with equipment manufactured by us and designed with embedded operating efficiencies,” Mr McTaggart said. The Bahamas remains a key revenue and earnings driver for Consolidated Water, with its two New Providence reverse osmosis plants generating a material

amount of revenue for it. Unveiling its results for the three months to end-September 2018, it said: “Bulk segment revenues were $8.577m and $7.881m for 2018 and 2017, respectively. “The increase in bulk revenues from 2017 to 2018 is attributable primarily to Consolidated Water (Bahamas) and Consolidated Water (Cayman), which generated approximately $632,000 in incremental revenues primarily as a result of a significant increase in the prices of diesel fuel and electricity from 2017 to 2018, which increased the energy component of our bulk water rates in The Bahamas and Cayman Islands.” The water supplier added: “Gross profit for our bulk segment was $2.919m (34 percent of bulk revenues) and $2.299m (29 percent of bulk revenues) for 2018 and 2017, respectively. “Gross profit as a percentage of revenues increased in 2018 as compared to 2017 due to a charge of approximately $430,000 recorded in 2017 relating to the refurbishment of a fixed asset used in our Bahamas operations.” As for the performance for the first nine months,

Consolidated Water added: “Bulk segment revenues were $25.295m and $23.616m for 2018 and 2017, respectively. The increase in bulk revenues from 2017 to 2018 is attributable primarily to Consolidated Water (Bahamas) and Consolidated Water(Cayman), which generated approximately $1.5m in incremental revenues due to a significant increase in the prices of diesel fuel and electricity from 2017 to 2018, which increased the energy component of our bulk water rates in The Bahamas and Cayman Islands. “Gross profit for our bulk segment was $8.446m (33 percent of bulk revenues) and $7.865m (33 percent of bulk revenues) for 2018 and 2017, respectively. Bulk segment gross profit dollars increased due to the increase in revenues.” Gross profit for our bulk segment was $2,919,083 (34% of bulk revenues) and $2,299,063 (29% of bulk revenues) for 2018 and 2017, respectively. Gross profit as a percentage of revenues increased in 2018 as compared to 2017 due to a charge of approximately $430,000 recorded in 2017 relating to the refurbishment of a fixed asset used in our Bahamas operations.

the generation costs. Yet while BPL will be paying the lower rental rates, the fuel - representing the bulk of the cost - will be passed on to Bahamian consumers through the utility’s fuel charge. One source explained: “Diesel is the cheaper option when it comes to rental rates but is the most expensive since the fuel share is higher (80 percent of total generation cost). “On the contrary, HFO has the higher rental rate since the equipment is more efficient, more reliable and more robust, but overall is the least expensive option for power generation since fuel is less expensive. In summary, BPL is taking the option that better suits their finances over what is best for the country and their

customers.” Mr Heastie could not be reached for comment yesterday, but Mr Maynard agreed with this rationale, adding that he “didn’t have a clue” why BPL chose ADOfuelled units over potentially cheaper deals for Bahamian consumers. “The Government needs to decide what they want to do,” Mr Maynard told Tribune Business. “The problem with it is this economy, if they don’t do something about it [high electricity prices] sooner rather than later, this economy is going to tank. “They have to get their heads out of their backsides. My alternative is to talk to Shell. Shell has the rights to provide power and fuel to BPL for the next 25 years. Shell is the largest distributor

of LNG and propane. “We can say to Shell: ‘We are in crisis mode, light bills are getting out of hand, and we need to do something about it.’ Shell can, in a month or two, have propane rental units down here cheaper than what we have now,” the union leader continued. “We need to get with it. There’s just too much money people are paying, and they can’t afford it. This economy is in danger of tanking, and everywhere you go people are complaining about these damn bills. If I was the prime minister I would talk to Shell.” Research by Tribune Business shows that BPL’s fuel charge has increased by 66.8 percent year-over-year, rising from 11.69 cents per KWh

in October 2017 to the 19.5 cents cited by Dr Moxey. Fuel costs account for just over half of customer bills, and the two-thirds increase in this component can be traced directly to the spike in global oil prices over the past year. This, though, has been exacerbated by events at Clifton Pier, where a maintenance backlog has been compounded by the fires that knocked out BPL’s two most efficient turbines and their 60 MW of generation capacity. This has forced BPL to rely heavily on the Blue Hills power plant, and its more expensive ADO fuel, for the bulk - around 70 percent - of New Providence’s power needs, thereby creating a “perfect storm” for long-suffering businesses and households.

MARKET REPORT THURSDAY, 8 NOVEMBER 2018

t. 242.323.2330 | f. 242.323.2320 | www.bisxbahamas.com

BISX ALL SHARE INDEX: CLOSE 2,005.85 | CHG -4.13 | %CHG -0.21 | YTD -57.72 | YTD% -2.80 BISX LISTED & TRADED SECURITIES 52WK HI 4.50 20.91 7.50 4.46 1.22 0.44 3.92 9.30 6.60 4.97 12.50 2.74 1.78 8.21 6.30 13.20 6.79 4.50 13.50

52WK LOW 3.50 19.17 7.50 3.32 0.90 0.16 2.25 8.60 6.09 3.54 9.00 2.30 1.50 7.25 6.00 10.10 5.67 3.25 12.50

1050.00 1000.00 1000.00 1000.00

1000.00 1000.00 1000.00 1000.00

PREFERENCE SHARES

1.00 103.00 100.00 106.00 105.00 103.00 100.00 10.00 1.01

1.00 100.00 100.00 100.00 100.00 100.00 100.00 10.00 1.00

SECURITY AML Foods Limited APD Limited Bahamas Property Fund Bahamas Waste Bank of Bahamas Benchmark Cable Bahamas CIBC FirstCaribbean Bank Colina Holdings Commonwealth Bank Commonwealth Brewery Consolidated Water BDRs Doctor's Hospital Emera Incorporated Famguard Fidelity Bank Finco Focol J. S. Johnson Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Commonwealth Bank Class E Commonwealth Bank Class J Commonwealth Bank Class K Commonwealth Bank Class L Commonwealth Bank Class M Commonwealth Bank Class N Fidelity Bank Class A Focol Class B

CORPORATE DEBT - (percentage pricing) 52WK HI 100.00

52WK LOW 100.00

115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 ##########

104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

SYMBOL AML APD BPF BWL BOB BBL CAB CIB CHL CBL CBB CWCB DHS EMAB FAM FBB FIN FCL JSJ CAB6 CAB8 CAB9 CAB10 CHLA CBLE CBLJ CBLK CBLL CBLM CBLN FBBA FCLB

SECURITY Fidelity Bank Note 22 (Series B) +

SYMBOL FBB22

Bahamas Note 6.95 (2029) BGS: 2015-1-3Y BGS: 2014-12-5Y BGS: 2015-1-5Y BGS: 2014-12-7Y BGS: 2015-1-7Y BGS: 2014-12-30Y BGS: 2015-1-30Y BGS: 2015-6-3Y BGS: 2015-6-5Y BGS: 2015-6-7Y BGS: 2015-6-30Y BGS: 2015-10-3Y BGS: 2015-10-5Y BGS: 2015-10-7Y

BAH29 BG0203 BG0105 BG0205 BG0107 BG0207 BG0130 BG0230 BG0303 BG0305 BG0307 BG0330 BG0403 BG0405 BG0407

BAHAMAS GOVERNMENT STOCK - (percentage pricing)

LAST CLOSE 4.45 17.43 9.09 4.46 1.01 0.44 2.30 9.30 6.15 4.00 12.42 2.38 1.78 7.65 6.30 12.99 6.75 3.63 13.01

CLOSE 4.45 17.43 9.09 4.46 1.01 0.44 2.30 9.30 6.15 4.00 12.42 2.45 1.78 7.57 6.30 12.98 6.41 3.63 13.01

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.07 0.00 -0.08 0.00 -0.01 -0.34 0.00 0.00

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

CLOSE 100.00

CHANGE 0.00

107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

LAST SALE 100.00 107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

VOLUME

776

2,100 1,650 4,955

VOLUME

EPS$ 0.214 0.932 -0.306 0.317 0.059 0.000 -0.588 0.700 0.441 0.154 0.627 0.102 0.209 0.000 0.670 0.701 0.578 0.277 0.631

DIV$ 0.100 1.130 0.000 0.240 0.000 0.010 0.000 0.710 0.220 0.120 0.620 0.060 0.060 0.084 0.280 0.500 0.150 0.130 0.590

P/E 20.8 18.7 N/M 14.1 N/M N/M -3.9 13.3 13.9 26.0 19.8 24.0 8.5 N/M 9.4 18.5 11.1 13.1 20.6

YIELD 2.25% 6.48% 0.00% 5.38% 0.00% 2.27% 0.00% 7.63% 3.58% 3.00% 4.99% 2.45% 3.37% 1.11% 4.44% 3.85% 2.34% 3.58% 4.53%

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

0.00% 0.00% 0.00% 0.00% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 7.00% 6.50%

INTEREST Prime + 1.75% 6.95% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.25% 4.50% 6.25% 3.50% 3.88% 4.25%

MATURITY 19-Oct-2022 ############### 30-Jul-2018 16-Dec-2019 30-Jul-2020 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2018 26-Jun-2020 26-Jun-2022 26-Jun-2045 15-Oct-2018 15-Oct-2020 15-Oct-2022

MUTUAL FUNDS 52WK HI 2.18 4.16 2.02 182.41 158.55 1.58 1.70 1.66 1.10 6.99 8.54 6.15 10.52 11.46 10.46 10.00 8.45 11.20

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.52 1.68 1.61 1.08 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20

FUND CFAL Bond Fund CFAL Balanced Fund CFAL Money Market Fund CFAL Global Bond Fund CFAL Global Equity Fund FG Financial Preferred Income Fund FG Financial Growth Fund FG Financial Diversified Fund FG Financial Global USD Bond Fund Royal Fidelity Bahamas Opportunities Fund - Secured Balanced Fund Royal Fidelity Bahamas Opportunities Fund - Targeted Equity Fund Royal Fidelity Bahamas Opportunities Fund - Prime Income Fund Royal Fidelity Int'l Fund - Equities Sub Fund Royal Fidelity Int'l Fund - High Yield Fund Royal Fidelity Int'l Fund - Alternative Strategies Fund Colonial Bahamas Fund Class D Colonial Bahamas Fund Class E Colonial Bahamas Fund Class F

NAV 2.18 4.16 2.02 182.41 158.55 1.58 1.69 1.66 1.09 7.36 8.47 6.53 11.32 11.67 10.54 9.93 8.45 11.20

YTD% 12 MTH% 2.90% 4.07% 0.44% 4.38% 1.70% 2.35% 2.08% 3.47% 3.35% 5.94% 3.22% 4.22% -0.38% 3.34% 2.39% 4.01% -0.38% 0.53% -1.08% 1.77% -5.96% -3.05% 1.90% 4.59% 7.24% 11.96% 2.77% 3.88% 3.94% 4.69% -0.61% 0.75% 1.13% N/A 2.95% N/A

NAV Date 30-Sep-2018 30-Sep-2018 28-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Jun-2018 30-Jun-2018 30-Jun-2018

MARKET TERMS BISX ALL SHARE INDEX - 19 Dec 02 = 1,000.00 52wk-Hi - Highest closing price in last 52 weeks 52wk-Low - Lowest closing price in last 52 weeks Previous Close - Previous day's weighted price for daily volume Today's Close - Current day's weighted price for daily volume Change - Change in closing price from day to day Daily Vol. - Number of total shares traded today DIV $ - Dividends per share paid in the last 12 months P/E - Closing price divided by the last 12 month earnings

YIELD - last 12 month dividends divided by closing price Bid $ - Buying price of Colina and Fidelity Ask $ - Selling price of Colina and fidelity Last Price - Last traded over-the-counter price Weekly Vol. - Trading volume of the prior week EPS $ - A company's reported earnings per share for the last 12 mths NAV - Net Asset Value N/M - Not Meaningful

TO TRADE CALL: CFAL 242-502-7010 | ROYALFIDELITY 242-356-7764 | FG CAPITAL MARKETS 242-396-4000 | COLONIAL 242-502-7525 | LENO 242-396-3225

PAGE 6, Friday, November 9, 2018

Central Bank to ban ‘anonymous’ crypto assets FROM PAGE ONE valuation, crypto assets held ‘in custody’ cannot be pledged as collateral for other loans. Similarly, banks are not to extend credit to clients for the purchase of crypto assets. “SFIs will likely be prohibited from conducting transactions involving crypto assets (such as Monero, Particl, Dash and Zcash) that are intentionally designed to hide details about end users’ identity. When new clients wish to use custodial services, they must satisfy enhanced customer due diligence (CDD) requirements and, where applicable, provide their public key to confirm that they are the beneficial owner of the crypto asset,” the regulator continued. “These and other safeguards are to ensure that all banks operating in and from within The Bahamas do not facilitate crypto assets ‘in custody’ from clients wishing to engage in tax evasion, money laundering, terrorism financing or other illicit activity.” Emphasising that it wants to develop “a Bahamian approach” to regulate this sector and the wider blockchain and financial technology (FinTech) industry, the Central Bank said Bahamian banks and trust companies will be restricted to “custodial arrangements” when dealing with client crypto assets. It added that

“comprehensive due diligence” will be required, with licensees mandated to obtain information on how such assets originated and the source of funds used to acquire them. Beneficiaries and signatories on such custody accounts will also have to prove their identities. The Central Bank’s regulatory proposal follows swiftly behind an October 17-26 survey conducted to gauge industry interest in participating in the “crypto asset” space. Drawing 49 response from around half the regulator’s supervised institutions, the findings suggest the banking industry’s typically conservative, risk averse nature is deterring many from embracing this innovation. “The results indicate extremely minimal involvement and very limited intentions to engage in crypto asset exposures or activities. A limited number of institutions have already adopted corporate level policies suggesting minimal appetite for entering the space,” the Central Bank concluded. “Virtually all of the respondents (94 percent) indicated that their institution had no exposure to crypto assets. Only one entity disclosed some involvement on a custodial basis for clients. Two other SFIs reported that they had facilitated the purchase of crypto assets on their trading platforms and over-the-counter.

“Generally, even where a corporate level policy was not present, Bahamian banks and trust companies did not plan to venture into the crypto asset space. In particular, approximately 84 percent of the respondents (41 SFIs) indicated that they were not planning to become exposed to crypto assets in the future,” the Central Bank added. “There were eight respondents that wanted to have exposure to crypto assets, but six of them had no corporate policies in place to govern these intended activities.” Turning to these eight institutions, the Central Bank said three were interested in providing client services through financing the purchase of crypto assets; holding these in custody; and accepting crypto deposits. “There was an interest by four respondents in facilitating clients in their purchase of crypto assets through the issuance and promotion of an initial coin offering (ICO) of payment tokens, trading platforms and over-the-counter transactions,” the Central Bank added. “Further, two respondents indicated that their institutions planned to act on their own behalf by investing directly in payment tokens and, to a lesser extent, indirect exposure through investments in companies heavily exposed to crypto assets.” The Central Bank added that only 17 percent

of respondents, or eight financial institutions, had corporate policies in place to deal with crypto assets. Of those, two planned to have crypto exposure in the future, while a further six had decided to avoid the sector entirely. Acknowledging that it was taking a “conservative approach”, the Central Bank said the existing exchange control regulations would govern the ability of Bahamians to invest in initial coin offerings (ICOs) and other crypto assets. “The [Central] Bank will also prohibit direct convertibility between Bahamian dollar (B$) currency or officially sanctioned B$ crypto instruments and foreign currency denominated crypto assets or non-resident sponsored instruments,” it emphasised. “This is consistent with the current exchange control requirements. For transactions involving Bahamian residents and non-residents, commercial banks (authorised dealers) are still charged with conversion into and out of domestic currency.” Expanding on this theme, the Central Bank added: “Bahamian residents will not have the ability to buy tokens or coins on any exchange and settle in Bahamian dollars. “Subject to the range of domestic (Bahamian dollar) instruments permitted by the Securities Commission, residents will be allowed to invest in local crypto assets.

However, for exchange control purposes, direct investments in such assets by non-residents will remain prohibited, aside from general accommodations that already apply for ‘like’ portfolio instruments under exchange controls... Non-fiat based payment tokens are impermissible Bahamian dollar crypto instruments.” With ICOs leaving consumers “susceptible to fraud” because they are largely unregulated, the Central Bank nevertheless said it will support offerings of “asset tokens and security tokens that have similar properties as shares”. The direct issuance or sponsorship of tokens that are not linked to, or backed, by normal currency will not get backing. The Central Bank acknowledged the potential for crypto assets to aid access to financial services and electronic payments in remote Family Islands, and added: “The Central Bank supports a modernised financial services sector, with focus on financial technology (fintech) innovations. “The regulatory framework must evolve in an appropriate and proportionate fashion to support these developments. In so doing, the sector’s competitive posture must be enhanced - without compromising the integrity or international reputation of The Bahamas. Or undermining the financial safety of Bahamian households.”

THE TRIBUNE

US AGRIBUSINESS LOOKS TO BOOST SALES TO CUBA HAVANA Associated Press REPRESENTATIVES from the United States’ agricultural sector arrived in Cuba yesterday for a conference aimed at promoting sales, one of the few US business areas allowed to deal with the island under a half-century-old trade embargo that Cuban leaders blame for most of its economic troubles. The US-Cuba Agriculture Coalition will explore potential opportunities for American agriculture producers seeking a market on the island. Cuba imports most of its food products from abroad, a multibillion-dollar market that has flourished despite US sanctions. Relations between both countries normalised somewhat after former US President Barack Obama loosened the trade embargo while in office. But President Donald Trump has intensified sanctions, making it harder for Americans to travel to Cuba and conduct business. In 2017, the United States sold $260m of food to the Cuba, but the figure was one of the lowest in this decade and paled in comparison to the $450m of US food sold in 2012. The island still cannot sell its own products in the US and is not given credit to help pay for imports as a result of the embargo. Cuba spends about $2bn a year to import food for its 11 million citizens, who are given almost free rations each month of products such as chicken, rice and milk.

To advertise in The Tribune, contact 502-2394

In the ESTATE OF CLYDE KILROY GARDINER late of 2 Yarrow Street in the Eastern District of the Island of New Providence, The Bahamas, deceased. NOTICE is hereby given that all persons having any claim or demand against or interest in the above Estate are required to send such claim or demand duly certified in writing to the undersigned on or before 9th day of December A.D. 2018 after which the Personal Representative in the said Estate will proceed to distribute the assets of the Estate having regard only to the claims, demands or interest of which she shall then have notice AND all persons indebted to the above Estate are required to settle such debts or make arrangements with the Personal Representative for such settlement on or before the date mentioned above. STRATFORD LAW CHAMBERS Attorneys for the Personal Representative Attn: Attorney Keith O. Major Jr. 46 Carmichael Road Nassau, N.P., The Bahamas

THE TRIBUNE

Friday, November 9, 2018, PAGE 7

New Tesla chairwoman’s biggest challenge is controlling Musk DETROIT Associated Press AUSTRALIAN telecommunications executive Robyn Denholm brings much-needed financial and auto industry expertise to her new role as Tesla’s board chairwoman, but her biggest challenge is whether she can rein in a CEO with a proclivity for misbehaviour. Denholm, who has been a Tesla board member for nearly five years, was named to the post late Wednesday, replacing Elon Musk as part of a securities fraud settlement with US government regulators. Corporate governance experts say they would have preferred an outsider with manufacturing expertise be appointed to lead the board, now dominated by people with personal and financial ties to Musk, including his brother. They aren’t sure if Denholm was hired just to placate the Securities and Exchange Commission to comply with the settlement or whether she’ll actually be able to corral the visionary but erratic Musk, who remains CEO. “With all the crazy stuff going on, she was there,” said Rohan Williamson, a finance professor who studies corporate governance at Georgetown University’s McDonough School of Business. “She couldn’t control him before. Is anything going to change?” Denholm, 55, is chief financial officer and strategy head at Telstra Corp Ltd, Australia’s largest telecommunications company. Her new role at Tesla came largely because of the board’s failure to control Musk, especially when he

THIS photo shows Robyn Denholm. Tesla’s board has named one of its own as chairman to replace Elon Musk, complying with terms of a fraud settlement with US securities regulators. The electric car and solar panel company’s board yesterday named Australian telecommunications executive Denholm as chairman, effective immediately. made a surprise announcement over Twitter in August that funding was secured to take Tesla private at $420 per share. That drove up Tesla’s stock price and hurt shortsellers, investors who bet against the company’s success. Eventually it drew a lawsuit from the SEC alleging that Musk misled investors. Denholm will step down from Telstra after a sixmonth notice period. Then she’ll work full-time at Tesla, where she has served on the board since 2014. Under the SEC settlement, Musk can’t return as chairman for three years, and only with a shareholder vote. The move vaults

Denholm from relative obscurity into a high-profile position of trying to muzzle Musk and manage a company that is struggling to produce vehicles and make money. Charles Elson, director of the corporate governance center at the University of Delaware, said Tesla should have brought in someone from outside. No matter how talented Denholm may be, and even though she appears to have fewer ties to Musk than other directors, she has a shadow over her of being on the board that did little as Musk misbehaved. “You really have got to wonder,” he said. “No other CEO of any other public company would have survived this.”

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Making Denholm a full-time chair also creates governance problems because she could become a Tesla executive, blurring her role as an independent check on management, Elson said. Email messages sent to Denholm yesterday were not immediately returned and Tesla declined comment beyond its statement announcing Denholm as chair. Denholm brings financial experience and other positives to the table for Tesla, said Michael Cusumano, a professor at the Massachusetts Institute of Technology’s Sloan School of Management. Before Telstra, she worked in Silicon Valley as chief financial officer at Juniper Networks and

head of corporate strategic planning at Sun Microsystems. She also was national finance manager at Toyota Motor Corp’s operations in Australia, and she’s a member of the board at Swiss robotics and industrial machinery maker ABB. “She could bring some more financial discipline to Tesla,” which has $10bn in debt and must keep manufacturing a large number of lower-priced Model 3 sedans to service its large debt and pay the bills, Cusumano said. Tesla cars also are having reliability problems, he said. Cusumano further notes that Denholm’s track record as a Tesla board member is not necessarily an indication of how she’ll be as a chairwoman. “She’s had a ringside seat

to the chaos and she didn’t or was not in a position to change anything,” said Cusumano, who has served on corporate boards. “All the information you are given comes from the CEO, COO, CFO,” he said. “It really is a restricted position. So I don’t think we can say that, well, she was ineffective as a director, the whole board was ineffective, so she’s likely to be ineffective as chairwoman.” On Twitter yesterday morning, Musk wrote that he has great respect for Denholm. “Very much look forward to working together,” he wrote. In a statement, Denholm said she believes in Tesla and looks forward to helping Musk and the company “achieve sustainable profitability and drive long-term shareholder value”. Tesla earned a $311.5m net profit during the thirdquarter. It was only the third time that Tesla has posted a quarterly profit in its eight-year history as a public company and the first time in two years. Telsa has never reported an annual profit. Under the settlement with the SEC, Tesla also is required to appoint two new independent directors, and it must review Musk’s posts about the company on Twitter. Musk and Tesla each had to pay a $20m penalty under the September deal with the SEC, and he cannot return as chairman for three years. But controlling Musk will be a big job for Denholm. Even after the settlement was announced, Musk taunted the SEC, calling it the “Shortseller Enrichment Commission” before snidely praising it for “doing incredible work.”

ONLINE BOOKINGS SOLUTION PROCESSES $3.7M IN 2018

their booking volumes and bottom line revenues since implementing RezBS,” said its founder, Ben Jamieson. “In one case, a client was booking only about onequarter of their customers directly through their site prior to implementation. “Now they are booking nearly three-quarters of their customers directly, cutting the amount of commissions they’ve had to pay out by half, while increasing their overall volume of customers.” For many Caribbean tour and excursion providers, the majority of customer acquisition comes from third-party, foreign corporations such as Expedia, Travelocity and Viator, which charge a 20 to 25 percent commission for each referral.

RezBS, which works on a multi-tier, subscription-based model, said it never charges its clients booking commissions, thus empowering these small business owners to retain more of their revenues and expand their profits, staff and operations. As a Wordpress plugin, RezBS said its tool can be installed in seconds, and can customise packages while upselling seamlessly for busy tour group operators. For those who do not have a Wordpress site, it added that its tools can be implemented with a few lines of code. RezBS added that its solution is the only online booking tool that is fully integrated with the major banks and online payment gateways.

TESLA CEO Elon Musk. Musk agreed to vacate his post as board chairman as part of a settlement with US regulators of a lawsuit alleging he duped investors with misleading statements about a proposed buyout of the company. Photo: Kiichiro Sato/AP

AN ONLINE bookings solution provider has announced the full launch of its services after processing almost $3.7m in direct excursions this year alone. RezBS, which is targeting the Caribbean tour companies market, said it aims to empower local businesses by minimising commission payouts and bringing more tourism dollars into the local economy through direct customer acquisition. “Our Beta customers have seen tremendous changes in

PAGE 8, Friday, November 9, 2018

THE TRIBUNE

Chinese leaders struggle to dispel stock market gloom BEIJING Associated Press LU YUSHAN, a retired salesman, has advice for investors in China’s slumping stock market: Sell. Lu’s shares soared over the past decade. But the 65-year-old cashed out this year, driven away by plunging prices, insider trading scandals, a cooling economy and a tariff war with Washington. “Investors should get out,” said Lu, watching flickering prices on a wall-mounted display at a Beijing brokerage. “I am here just for fun and not to make money.” President Xi Jinping’s government is struggling, with limited success, to dispel such gloom and talk stock prices back up with promises of tax cuts, more bank lending and a media campaign led by its economy czar. The benchmark Shanghai Composite Index sank 30 percent from January through mid-October. Prices fell so far that China gave up its status as the number two market by share value after the United States and dropped to third place behind Japan. The index has gained five percent since late October but is the world’s worst performer this year. The slump adds to challenges for communist leaders as they try to shore up economic growth and carry on a tariff war with US President Donald Trump over Beijing’s technology policy. It also puts a kink in plans for state industry to use share sales to pay down a multibillion-dollar mountain of debt and modernise.

CHINESE investors monitor stock prices at a brokerage house in Beijing. China’s government is trying to dispel stock market gloom and talk prices back up with promises of tax cuts and a media campaign led by its economic czar. China’s markets are unusual among large countries. Created to raise money for state industry, they have a growing number of private firms but still are dominated by government companies such as oil giant PetroChina Ltd and China Mobile Ltd, the world’s biggest phone carrier. Prices react to policy changes instead of economic performance. Conditions abroad have little influence because Chinese markets are kept walled off from global financial flows. A handful of US and European financial firms have been granted the status of domestic investors since 2002 but the main class of “A’’ shares is off-limits to most foreign investors. The latest price slide began in January after Beijing clamped down on bank lending to rein in surging debt. Shares in real estate and

other companies that thrive on credit were hit hard. Aluminum Corp of China, a major building materials supplier, tumbled 52 percent. China Vanke Co, a developer, is off 40 percent. The economic downturn brought on by credit controls was more abrupt than Chinese leaders wanted, prompting them to reverse course and tell banks to lend more. They promised tax cuts and other help after economic growth slumped to a post-global crisis low of 6.5 percent over a year earlier in the three months ending in September. But the impact of those measures has yet to show up in economic data. “Market sentiment has remained very weak,” UBS economists said in a report. The slump drove university student Shao Xinyu to the sidelines less than a year after he started buying stocks.

Shao, from the central city of Zhengzhou, invested 30,000 yuan ($5,000) from his savings and gifts from his parents. The market plunge slashed the value of that stake by one-third. “I won’t invest more,” said Shao, 21. “I need to wait to see how the economy and the market develop.” China’s stock markets have ridden a boom-andbust roller coaster since 1990, when the first exchange since the 1949 communist revolution opened in Shanghai. A second exchange followed the next year in Shenzhen, near Hong Kong. Prices soared and slumped in 2001, 2008 and again in 2015. Despite that, small investors piled into stocks. The number of individual Chinese trading accounts nearly quintupled between 2006 and 2017, hitting 192

million, according to the Shanghai Stock Exchange’s annual report. Brokerages opened trading rooms where small investors with jars of tea and bundles of financial newspapers perched on plastic seats in front of wallmounted price monitors. Today, most of those have closed as trading shifted online. Three-quarters of Chinese trading accounts are worth less than 500,000 yuan ($71,000), according to the Shenzhen Stock Exchange, and most traders have a few thousand dollars invested, buying shares directly instead of using mutual funds. Lu, the retired salesman, said he started out 15 years ago with 10,000 yuan ($1,500) and turned that into 100,000 yuan ($15,000) before selling most of his shares. Individual investors owned about 21 percent of the market as of the end of 2017, or shares worth 5.9 trillion yuan ($842bn), according to the Shanghai exchange. Galaxy Securities, a brokerage, says about 30 percent of that, or 1.9 trillion yuan ($271bn), was in mutual funds. Investors already were skittish after the 2015 price collapse. Then, Beijing plowed billions of dollars into stopping the slide and suspended plans for stock offerings by state-owned companies. Confidence took another hit after a wave of arrests of brokerage executives, a star Chinese trader and a former market regulator on charges of insider trading and manipulating prices. Li Jun, a retired hotel chief executive in the eastern city of Nanjing, said his

nest egg of 300,000-400,000 yuan ($40-$60,000) in stocks was cut in half by the market routs in 2008 and 2015. “I avoid putting in more money, because what is the use of doing that?” said Li, 81. Regulators have tried in vain to encourage investors to shift from rapid-fire trading to holding for the long term. The Shanghai exchange said individual investors accounted for 82 percent of its daily trading volume in 2017, little changed from previous years. Instead, regulators are gradually allowing in more foreign buyers in hopes they will provide ballast as longterm investors. Since 2014, foreigners have been able to buy some “A’’ shares through Hong Kong. In July, regulators announced foreigners working in China would be given access to the whole market. Now, investors worry about a possible new downward spiral if prices of shares pledged as collateral by companies for loans fall far enough that banks and brokerages might seize and sell them to recover their money. The government tried to allay those fears by announcing on Oct 19 that Chinese insurers would be allowed to create units to buy such shares temporarily to keep them from flooding the market. The same day, officials led by Vice Premier Liu He, Xi’s top economic adviser, launched a media campaign to talk prices back up. The central bank governor, Yi Gang, was quoted as saying “economic fundamentals are good”. Liu said cheaper stocks created “good investment opportunities”.